Originally a pure player in office real estate, Cofinimmo has been working hard the past few years to safeguard its portfolio’s future by diversifying within alternative sectors like healthcare real estate and property of distribution networks.
Cofinimmo is one of the main investors in healthcare real estate in Continental Europe.
Since 2005, the Group has chosen to invest in the healthcare real estate sector, which comprises nursing and care homes, medical office buildings, acute care clinics, revalidation clinics, psychiatric clinics and sport and wellness centres. This segment proved so successful that it came to be the company’s first pillar, representing nearly 50 % of its total portfolio. Today, Cofinimmo has a healthcare portfolio located in four countries (Belgium, France, The Netherlands and Germany).
Over 30 years of experience in office real estate in Belgium.
The second pillar, office real estate, represents 38 % of the total portfolio. The company strongly believes in the importance of in-house office management, which guarantees high-quality buildings and regular and lasting relations with its clients. Cofinimmo continuously adapts its office spaces to take into account the changes in working habits toward more flexible and mobile approaches (New Way of Working). The company is also particularly involved in sustainable development with the goal of retaining the highest quality portfolio and reducing its ecological footprint.
Cofinimmo’s third pillar comprises two property of distribution networks portfolios.
In 2007 and 2011, Cofinimmo acquired the real estate of two distribution networks by means of a sale and leaseback transaction: pubs and restaurants in Belgium and in the Netherlands rented to AB InBev, as well as insurance agencies in France rented to MAAF, a subsidiary of the French insurer Covéa. By acquiring these property assets and assuming responsibility for their structural upkeep of walls, roofs, external woodworks and facades, Cofinimmo allows the operating companies to focus on their core business. At the same time, the leases signed provide for stable long-term revenue flows.
What is the future for Cofinimmo?
In the years to come, the company will pursue the diversification strategy by location, by operator and by medical specialty of its healthcare real estate portfolio. It will also continue to rebalance its office portfolio to the Central Business District of Brussels. It will maintain the granularity of its global portfolio and will perform regular arbitrages to crystallise value and to optimise its composition.
The Group will maintain its profile of regular dividend distributor while protecting capital on the long term.
Key figures 31.12.2017
¦ Market capitalisation €2.3 billion
¦ Investment properties portfolio (in fair value) €3.5 billion
¦ Property result €209.9 million
¦ Net result from core activities (Group share) €139.1 million
¦ Weighted residual lease term (until the next possible break option - in years) 10.3
¦ Occupancy rate - total portfolio 94.6%
¦ Net rental yield at 100% occupancy 6.1%
¦ 2017 dividend yield 5.1%
Bd de la Woluwe 58 Woluwedal
1200 Brussels, Belgium
+32 2 373 0000